Can I pay off an EQUITY loan with an unsecured loan prior to filing bankruptcy?

We got a home equity loan in June to consolidate credit card bills, another home equity line, and small construction loan. Things were fine until I was recently diagnosed with multiple sclerosis and declared disabled. I receive social security, which is currently one-half of my former salary, but only until my children graduate when it will drop to one-third. We now realize that we cannot pay for my graduate school loan (simple bank loan-not federal), the car loan, the equity loan, AND the home first mortgage. We can pay for a cheaper car and the first mortgage for the home, but not the equity loan too. Can I put SOME not all of the equity loan onto my unsecured loan to %26quot;pay it down%26quot; so that when we file bankruptcy we can afford to keep our home?

Can I pay off an EQUITY loan with an unsecured loan prior to filing bankruptcy?

You can re-afirm the mortgages. If a company finds out that you borrowed to then file a bk, then you may have to pay it any way. Talk with your atty about this course of action

Can I pay off an EQUITY loan with an unsecured loan prior to filing bankruptcy?

call a bank and talk to a mortgage specialist or loan originator, they would be able to give you better advice than anyone here.

sorry to here about you ms

good luck

Can I pay off an EQUITY loan with an unsecured loan prior to filing bankruptcy?

If you were to do that - you'd have to wait for approx 6 months to file - else, the trustee in bankruptcy court might have a problem with what you've done %26amp; create havoc for you.

Certainly you could reaffirm the loans, but if you can't afford it now, you might not could afford it then either.

Depending on the amount of income the petitioners have, guides in what chapter you can file now. Petitioners are those that file: If it's you only - your income; if it's you %26amp; a spouse - it's the combined incomes.

When the bankruptcy law was revised in October 2005 there became certain qualifications that have to be met to dissolve debts by chapter 7s. If you are ableto repay - you would have to file a chapter 13.

Good luck.